Settlement effect on credit score

Settlement is viewed differently by different lenders. Some see that you were not able to pay the full amount with your past creditors, maybe because of your financial difficulties. Hence, you arranged for a settlement amount. While a few take it in a positive way because you made an effort to pay the debts rather than leaving it delinquent.

You need to consider other factors also before going for a settlement. It depends whether you aren't able to afford payments at the existing interest rate to your creditors and cannot manage the consolidation plan also. Those having such problems have to make a choice before creditors take legal actions or send the file to collections because of your continuous delinquency. Settlement companies have experiences dealing with different creditors. Talk with them clearly if they were successful in settling the accounts with Chase Bank.